Land procurement begins for $ 200 m second phase of Hambantota Port

By Uditha Jayasinghe

Land procurement has begun for a US$ 200 million second phase of the Chinese-funded Hambantota Port with Cabinet approval, the Government said yesterday.    

On a proposal made by President Mahinda Rajapaksa in his capacity as the Minister of Ports and Highways, Cabinet has approved the appointing of a committee to identify how much land will be needed for the second phase.

The project is being funded by the China Exim Bank with the first phase alone costing US$ 361 million. The Hambantota Port will also include an economic processing zone and a nearby airport to make it an attractive investment zone.

The Chinese Government has offered US$ 200 million for the second phase.

The committee is also charged with paying compensation to the people who will lose land as part of the expansion project. However, the Government is yet to identify how much land would be needed.

This committee, headed by the Ports and Highways Ministry Secretary A.M. Jayawickrema, will include nine members representing relevant stakeholder agencies, including the Hambantota District Secretary.

Lands required for the second phase of the Hambantota Port Development Project and the basic survey work pertaining to these lands has been finalised, Government Spokesman Minister Keheliya Rambukwella told media.   

He added that the Government was committed to ensuring that the compensation was paid according to legal stipulations and that no owners would be harmed in the payment mechanism.